Update on major change to TV licence rules affecting all UK households | Personal Finance | Finance
A proposal is moving forward for a major change to the TV licence rules affecting all UK households. You currently have to pay £180 a year for a colour TV licence, although certain groups can get a free TV licence.
You have to get a TV licence if you want to watch or record live TV on any channel or service, or to use BBC iPlayer. Some older people can currently get a free TV licence, as well as certain other groups.
However, campaigners are calling for the licence to be scrapped. A new petition to Parliament says it’s time for this question to be put to the public.
‘Give the people a voice’
The message states: “Hold a simple yes or no referendum on whether the TV licence should be abolished. We keep being told by many politicians that the BBC is a national institution and should be protected by the continuation of the TV licence.
“This petition calls on the Government to give the people a voice and to hold a yes/no referendum to see how the population truly feels.” You can sign the petition on the website.
The BBC derives the majority of its funding through people paying for their TV licence. Fee payers provided almost two thirds of funding for the broadcaster in 2024/2025, providing £3.84billion of the BBC’s £5.90billion revenue.
How are TV licence funds used?
Information on the BBC website explains: “Funding from the licence fee allows the BBC to provide an unparalleled range of programmes and services across TV, radio and online.”
The guidance also states: “In addition to funding programmes and services, a proportion of the licence fee funds the BBC World Service broadcasting in 42 languages including English globally, as well as funding the Welsh Language TV channel S4C and Local Democracy Reporters. The licence fee allows the BBC’s UK services to remain free of advertisements and independent of shareholder and political interest.”
Another petition to the Government is fast gaining ground calling for the TV licence to be free for all pensioners. Under current rules, you can get a licence with nothing to pay if you claim Pension Credit and are aged 75 or older. Some other groups of older people or those with certain medical conditions also qualify.
The message, which has reached 60,000 signatures to date, urges: “We want the Government to fund free TV licences for existing pensioners and those who reach the official retirement age. When people reach retirement age, we think they should receive a state-financed free TV licence.”
